Media Release

22 November 2018

O’Brien: The Liberal Nationals’ plan to cut taxes, cut the cost of living and build infrastructure

Thursday 22 November 2018

The Liberal Nationals’ plan to cut taxes, cut the cost of living and build infrastructure

A Liberal Nationals Government will get back in control of Victoria’s finances.

This economic plan will cut taxes, cut the cost of living and build the road and rail infrastructure that Victoria needs.

Our costings document for the 2018 election, released today, shows that our commitments are fully costed and fully funded with no new taxes and no more debt.

Victorians will enjoy tax cuts and cost of living relief under a Liberal Nationals government.

Cutting regional payroll tax to just 1 per cent will give regional Victoria the lowest payroll tax rate in Australia and help to grow jobs.

Increasing the stamp duty concession for pensioners downsizing will save $100 million and also help create more housing availability for growing families.

Our cuts to red P-plate registration, fairer water bills, free school books in state secondary schools and policies to get the cost of electricity down will all help families to get ahead.

Our costings show that the budget bottom line will be better each and every year thanks to the Liberal Nationals’ strong financial management.

Net debt as a proportion of gross state product will fall across the forward estimates, leaving debt $1.1 billion lower by 2021-22. This is an important insurance policy in a time when the property market has fallen sharply and stamp duty revenue forecasts have dropped by $2.4 billion.

Our ambitious infrastructure programme includes high-speed regional rail, expanding suburban rail lines, new V/Line rolling stock and building the North East Link and the East West Link. We will fund it through strong financial management including a medium-term lease over the sewerage treatment business of Melbourne Water (including two treatment plants and associated infrastructure) while ensuring the Essential Services Commission retains control over setting prices to protect consumers.

The Liberal Nationals economic plan will also make Victoria safer with more frontline police and stronger counter-terrorism capacity.

Our costings have been independently reviewed by Peter de Cure of Dennison Advisory Pty Ltd. Mr de Cure is a Fellow of the Institute of Chartered Accountants, a Fellow of the Australian Institute of Company Directors and a former Partner of worldwide accounting firm KPMG. He also currently serves on a number of boards, including as Chairman of the Australian-American Fulbright Commission, as a Director of the Royal Flying Doctor Service (Central Operations) and is a member of the Tax Practitioners’ Board.

Mr de Cure has confirmed, on the basis of his review of our costings, that the calculations and underlying assumptions provide a reasonable basis for estimating the net financial impact of those policies on the Victorian budget for the period 2018-19 to 2021-22.

At the last election, Daniel Andrews promised no new taxes and no increase in taxes.

He lied and announced 12 new or increased taxes, making Victoria the highest taxed state in Australia.

He wasted $1.3 billion of taxpayers’ money by tearing up the East West Link contract.

The Labor Party under his leadership stole money from Victorian taxpayers to fund Labor’s red shirt rorts.

Victorians can’t afford another four years of Daniel Andrews and Labor.

Only the Liberal Nationals offer Victorians tax cuts and cost of living relief with strong economic management.

Read our Election Costing document here.